Technically speaking, it is the year 2026 AD, but the technology industry has already entered the "1 AJ" era, which is also known as the "post-Jensen Huang era."
NVIDIA CEO Jensen Huang resigned on Thursday, bringing to an end a tumultuous chapter for the chip giant. Jensen Huang turned gaming chips into the engines of the artificial intelligence boom and built an empire in the process. In the end, however, NVIDIA's greatest risk turned out to be its very own founder.
But the drama is not over yet. Jensen Huang's unique organizational structure and the lack of succession planning mean that there are still many messes that need to be cleaned up.
Speaking of the mess, after Jensen Huang resigned, the media reported that he had another "intimate relationship" with an NVIDIA employee.
Business Insider's Sarah E, Needleman, and Tim Paradis further analyzed why flat organizations built around strong founders are great... until they are no longer so great.
Now, it's time for Colette Kress, NVIDIA's long-time Chief Financial Officer and interim CEO, to soothe market sentiment and steady this $4 trillion market value giant. She will also have the assistance of Harvey Jones, a seasoned technology investor and member of NVIDIA's board of directors. Jones has been a board member since 1993 and was appointed as the company's first chairman. The internal memo sent to employees by both of them is also worth reading.
What is troubling is that Jensen Huang talked about a succession plan a few weeks ago, but his remarks provided almost no specific details or plans at all.
"Just as I can be fired, the next CEO must also be hired,"Jensen Huang said.
NVIDIA's biggest challenge at the moment may be to maintain stability while significant changes are still in the making.
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Cres's "temporary" title indicates that she is merely a transitional solution to the leadership issues at NVIDIA. According to market predictions, Ian Buck, who has long held a position in hardware management, may ultimately take on this role.
Buck's most famous achievement is the creation of CUDA. This platform bridges the gap between GPU and AI models, and it is one of NVIDIA's key technical moats.
The company may also look for candidates from outside its internal ranks. Donald Trump, the U.S. President who has a close relationship with Jensen Huang, has already mentioned a name: Tim Apple Cook. Trump also said that he spoke with Jensen Huang the day before his resignation and described Jensen Huang as "going through hellish torment."
At the same time, the lack of a clear succession plan, coupled with a temporary CEO, may present an opportunity for customers who wish to renegotiate and secure better terms.
"He has a large number of clients in his network. If they make a mistake, you'll have to wait even longer, as you'll have to put others in line before dealing with their issues."Barr says.
But if a new face takes over at the negotiating table, the situation can be different. Especially when this person is not likely to stay in that position for too long.
Of course, the demand from tech companies for GPU will not disappear. NVIDIA still holds astonishing power and bargaining strength in the field of artificial intelligence transactions. However, assuming that something will continue forever is often a recipe for disaster.
Just ask Jensen Huang and you'll know.
